Economics Quiz

Its the market value of all final goods and services produced within a nation in a given time period

• Consumer Price Index (CPI)
• Net Domestic Product (NDP)
• Gross National Product (GNP)
• Gross Domestic Product (GDP)

what is important to consider when determining the wealth of a country 

• Labor input

• GDP

• • National income accounting

• Personal Income

What does the peak of the business cycle represent?

• The lowest point of real GDP before it starts to grow

• The point where real GDP is declining

• The highest point where real GDP reaches its highest point in the cycle

• The beginning of the expansion phase

What is the formula for calculating GDP?

• GDP = C + I + G + (X - M)

• GDP = C + I + G + X

• GDP = C + I + G

• GDP = C + I + X + GPD

Is inflation ever a good thing?

• Yes,It can be a good thing because it helps companies make more money

• No

• Only during a recession

• Only when it is hyperinflation

Define the unemployment rate.

• The percentage of the total labor force that is jobless and not looking for work

• The percentage of the total labor force that is jobless and looking for work

• The percentage of the total population that is jobless and looking for work

• The percentage of the total population that is jobless and not looking for work

What type of unemployment worries economists the most because it means that people have lost their jobs due to tough economic times?

• Frictional unemployment

• Structural unemployment

• Cyclical unemployment

• Seasonal unemployment

What do we call the percent of people who do not have an income to maintain a standard of living?

• Inflation rate

• Poverty rate

• Unemployment rate

• GDP per capita

What is the name of the organization that acts like a central bank for the US?

• Federal Agency

• Central Reserve

• American Bank

• Federal Reserve

The Fed provides banking services for

• International banks only

• National government and many private banks

• State governments exclusively

• Private individuals